Dow Chemical's Union Carbide completes sale of ownership in Malaysia-based Optimal Group to state-owned Petronas for US$660M
September 30, 2009
– Union Carbide Corporation, a wholly owned subsidiary of The Dow Chemical Company (NYSE: DOW), has completed the divestiture of its ownership in the OPTIMAL Group of Companies (OPTIMAL) to Petroliam Nasional Berhad (PETRONAS) for an equity value of $660 million.
Under a commercial supply agreement, Dow will continue serving its current customer base in much of Asia Pacific with basic and performance chemicals products manufactured by OPTIMAL.
The proceeds from this transaction will be used for further debt reduction, in-line with the Company's de-leveraging plan.
Dow's divestiture of OPTIMAL follows other actions designed to increase Dow's financial flexibility, improve its cash flow, and reduce debt.
About The Dow Chemical Company (parent company of Union Carbide Corporation)
Dow is a diversified chemical company that combines the power of science and technology with the “Human Element” to constantly improve what is essential to human progress. The Company delivers a broad range of products and services to customers in approximately 160 countries, connecting chemistry and innovation with the principles of sustainability to help provide everything from fresh water, food and pharmaceuticals to paints, packaging and personal care products. In 2008, Dow had annual sales of $57.5 billion and employed approximately 46,000 people worldwide. The Company has 150 manufacturing sites in 35 countries and produces approximately 3,300 products. On April 1, 2009, Dow acquired Rohm and Haas Company, a global specialty materials company with sales of $10 billion in 2008, 98 manufacturing sites in 30 countries and approximately 15,000 employees worldwide. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.